July soybeans were trading 14 cents higher late in the overnight session. China futures closed slightly higher. Palm oil futures in Malaysia closed up 0.4% overnight. Asian equity markets were under pressure in the wake of Chinese trade data that disappointed, and the Hong Kong market extended to a 6th straight loss. European equity markets also remained under pressure with the Chinese slowing fears and residual concerns toward the Greek political situation weighing on sentiment. The European markets are watching to see if the newly elected Greek leader will be able to form a government, and then the trade will begin to fret over whether that government will honor past EU austerity commitments. Early action in the US equity markets was mixed, with a lack of confidence toward Europe still hanging over the trade. After a rather thinly scheduled report slate from the US earlier this week, the trade is likely to take a lot of direction this morning from US initial and ongoing claims figures and also from the US Trade Balance report. There were 45 deliveries against May soybeans this morning, leaving the total this month at 2,536. Oil deliveries this morning were 687 contracts. There were no meal deliveries again, and there have been none for the month at all. The results of the USDA supply/demand reports should set the tone for the market today. July soybeans are down as much as 99 1/4 cents in just six trading sessions, so it may be difficult to see USDA numbers bearish enough to force a sharp break, at least for the short-term. China is offering 2.5 million tonnes of state reserve soybeans to crushers, which might temporarily slow the aggressive import pace of recent weeks. China customs data shows that soybean imports for the January to April time frame were 18.15 million tonnes, up 22.3%. China's National Grains and Oils Information Centre expects China to import nearly 5.7 million tonnes in May, up 23% from a year ago. July soybeans closed moderately lower on the session yesterday, but the market saw a very strong recovery from the early lows. Funds were noted as massive sellers, especially early. Euro zone debt concerns were a key negative force, as a sharp break in global equity markets and a surge higher in the US dollar helped spark a continued long liquidation selling trend. For the report, traders see Argentina's production down to 42 million tonnes from 45 million last month and Brazil's production near 64.5 million tonnes from 66 million last month. As a result, world ending stocks for the 2011/12 season are expected to drop to near 53.3 million tonnes from 55.52 million last month. Stocks for the new crop season are expected to recover to 59.3 million tonnes. US ending stocks for the 2011/12 season are seen near 215 million bushels, compared with 250 million posted in the April update. For 2012/13 season, traders see ending stocks at 165 million bushels but with a range of 90 to as high as 250 million bushels. For the weekly export sales, traders see soybean sales near 1.32 million tonnes, compared with 1.732 million last week. Farmers are on strike in Argentina from Thursday through at least Sunday, and traders will monitor the situation to see if there are export disruptions.